DW JAN - FEB 2020

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We are mainly manufacturing 90 pointers to 30 cts.
Our production is back on track since December
2019. KGK today is one of the major manufacturers
for big size stones in the global market and recently
we have made a one price policy for all our
polish sales. This will make it easier for
small and mid size traders to source
from KGK and will also help us to
increase our presence in the market.
The pricing of diamonds has been
stable in the past 2-3 months and
U.S. and China are doing well. The
recent developments in China might give
a push back but only time will tell. There is
definitely a consolidation in the market and that is
good and will be healthy for the future. Companies
will be able to make some profits and grow
hasmukh Ramani, KGK Diamonds
I
have been visiting Antwerp
every January in the last few
years and the fact that it is the
only diamond centre in the world,
which is a perfect blend of rough
and polished diamonds has not
changed. Winter thronged the streets
of the Diamond District, dotted
with hundreds of offices and people
walking in and out from one office to
the other.
The business is bad, no doubt, as
is the case globally, but for Antwerp,
the fact that the city is well connected
to global markets with Indians and
Jews working together is and has
always been a major plus point.
After interacting with many
players, one thing that is apparent
is that with every passing year,
the market is getting majorly
consolidated, where the bigger
companies are getting bigger and
the monopoly is falling in the hands
of a few companies. To maintain
a steady turnover and to run the
operational costs and other expenses
is something the smaller companies
are finding difficult. Larger players
are able to do this because they have
the support of their global networks,
financial management and big teams.
The rough is strong in terms
of prices and Antwerp was full
of manufacturers from Surat and
Navsari actively buying. They were
hopping in and out of offices, fishing
through parcels. The reason behind
the activity is the low supply of
roughs in the last quarter. January’s
DTC sight goods came in on the day
I arrived, late January.
The market is going through many
changes and the climate is lukewarm
for sure, but the demand is driven by
multiple factors. Here’s what some of
the players had to say:
We have been in the business
for 25 years now. We were
originally a rough trading
company but now we do
more of polished goods. We
sell both online and offline
and we are also into jewellery
manufacturing. Business is
getting tough every year, but
there is demand for polish
diamonds and to make
profits, one needs to be very
dynamic. One has to adapt
to the changes, otherwise
there is no question of
existence. My core focus is
the European market and
the jewellers here. There is
potential and the retailers
need good service, hence
we source precise goods
for them. Service is key to
success today. They don’t
mind paying 1 – 2 per cent
extra but they want prompt
service and desired goods. I
buy diamonds from India and
process them based on my
clients’ requirements. Sales
is not an issue but we need to
promote generic diamonds to
the future generations to keep
our business flourishing
Alain Zlayet, Zlayet and Sons
Diamonds BVBA
DiamonD WorlD | january-february 2020 | 69